OnlyFans model Amouranth strikes back at Twitch’s business model after signing a whooping contract with Kick
The Onlyfans model made a thread of tweets on her personal handle explaining the flawed structure of Twitch's Business Model.
(credits: pxfuel)
The topic that’s been garnering the most attention is Twitch streamers’ migration to Kick. Loads of famous streamers have left Twitch due to its harsh and unjustified ban policies. And most of them have migrated to the new streaming platform, Kick. However, there are a few exceptions who choose Rumble instead. Also, Kick has been very generous with their contracts to all these migrating streamers, with xQc receiving a $100 million contract and recently Amouranth receiving a $30 million contract.
Kaitlyn “Amouranth” Siragusa recently signed a $30 million deal with Kick. The Onlyfans model has a sizeable fanbase, and after receiving multiple unnecessary bans on Twitch, she took up a deal with Kick. Furthermore, this contract is a multi-year contract, valid for two years. Amouranth has a decent revenue stream after being a streamer for years. Moreover, after she announced this switch on June 18, she touched upon various issues with Twitch. The most important one out of all of them is Twitch’s business model.
The Onlyfans model talked intensively regarding Twitch‘s Business Model on her personal Twitter account. He explained various factors that are wrong with this model. She talked about how live streaming is a much smaller (Total Addressable Market) and Twitch’s policies are deteriorating the existing base. Moreover, Amourant talked about how streamers’ profitability is targeted by Twitch and how its whole Business Model is flawed.
Related: Why Amouranth left Twitch to join Kick; is she offered xQc like $100,000,000 contract?
Amouranth’s Take on Twitch Business Model
After Amouranth announced her migration to Kick, she took it to social media to explain why Twitch is moving towards its downfall. In a recent thread of tweets on her personal Twitter handle, the Onlyfans actor explained Twitch’s Business Model. She gave an in-depth take on how flawed the system is. She mentioned how Twitch’s business model is not sustainable in its current form.
Amouranth further explained the current TAM of live streams. She mentioned how the total addressable market (TAM) for live streaming is much smaller than the TAM for pre-recorded video. And how Twitch is able to achieve profitability by squeezing its creators.
She advised how Twitch should focus on finding a way to tie into Amazon‘s rapidly growing advertising business. This would allow Twitch to generate more revenue and achieve profitability without having to squeeze its creators.
Finally, she said that Twitch’s recent actions, such as taking an incremental share of streamer earnings, are ham-fisted and will not lead to profitability. Twitch needs to find a way to grow its TAM or create a much better business model/monetization engine. Twitch should not be content with its current state of affairs. It should be actively looking for ways to improve its business model.
And most of what she said is true. Twitch recent policies have been very derogatory towards streamers. Furthermore, this has resulted in streamers migrating to other streaming platforms. Although this should’ve been a slap to the face for Twitch, the company doesn’t appear to be making decisions toward amendments. However, such big corporates need time to stabilize. Hence, we’ll know in due time whether the company will pull itself back or not.
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Sneh Prasad
(661 Articles Published)